Key facts
- Worker illness costs UK businesses £85 billion annually.
- Presenteeism accounts for £21 billion of the total cost.
- Lost output from employees unable to work due to sickness costs £47 billion.
- The cost of worker illness to businesses rose by £30 billion between 2018 and 2023.
- £25 billion of the 2018-2023 increase was due to presenteeism.
- UK workers lose an average of 6.7 sick days per year.
The UK's workforce health crisis is costing businesses an estimated £85 billion annually, with presenteeism – employees working while sick – being the primary driver of lost productivity. A report by the IPPR Commission on Health and Prosperity found that the cost of worker illness to businesses increased by £30 billion between 2018 and 2023, with £25 billion of that rise attributed to presenteeism.
According to the report, UK workers now lose an average of 6.7 days to sick leave annually, compared to 3.7 days in 2018. Presenteeism results in the equivalent of 44 lost productivity days per employee, up from 35 days in 2018. While UK workers are less likely to take sick days than their counterparts in other OECD and European countries, they are more likely to work through illness.
Dr Jamie O’Halloran, a senior research fellow at IPPR and co-author of the report, stated that workers are often pressured to work through sickness due to poor workplace culture, management, financial insecurity, or a lack of understanding of long-term conditions. Paul Devoy, chief executive of Investors in People, emphasized the link between a positive wellbeing culture and organizational performance.
The IPPR is advocating for a "health-led economy" and proposes tax incentives for companies that significantly improve workforce health, alongside mandatory reporting on worker health. The report also notes a rise in economic inactivity due to ill health, with 2.8 million working-age people in the UK not employed or seeking work for this reason. The UK government has announced plans to address economic inactivity through targeted work, health, and skills initiatives.